Critical Comparison: Taoping (NASDAQ:TAOP) & Alphabet (NASDAQ:GOOGL)

Taoping (NASDAQ:TAOP) and Alphabet (NASDAQ:GOOGL) are both computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, profitability, valuation, institutional ownership, analyst recommendations, risk and dividends.

Risk and Volatility

Taoping has a beta of 0.48, meaning that its stock price is 52% less volatile than the S&P 500. Comparatively, Alphabet has a beta of 1.09, meaning that its stock price is 9% more volatile than the S&P 500.

Insider & Institutional Ownership

4.0% of Taoping shares are held by institutional investors. Comparatively, 40.0% of Alphabet shares are held by institutional investors. 45.4% of Taoping shares are held by company insiders. Comparatively, 11.6% of Alphabet shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Taoping and Alphabet”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Taoping	$36.67 million	0.05	-$1.82 million	N/A	N/A
Alphabet	$402.84 billion	9.36	$132.17 billion	$10.81	28.84

Alphabet has higher revenue and earnings than Taoping.

Profitability

This table compares Taoping and Alphabet’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Taoping	N/A	N/A	N/A
Alphabet	32.81%	35.01%	25.07%

Analyst Recommendations

This is a summary of current recommendations and price targets for Taoping and Alphabet, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Taoping	1	0	0	0	1.00
Alphabet	0	5	43	3	2.96

Alphabet has a consensus price target of $366.57, indicating a potential upside of 17.58%. Given Alphabet’s stronger consensus rating and higher probable upside, analysts clearly believe Alphabet is more favorable than Taoping.

Summary

Alphabet beats Taoping on 12 of the 13 factors compared between the two stocks.

About Taoping

Taoping Inc. provides cloud-based platform, resource sharing, and big data solutions to the Chinese new media, education residential community management, and elevator Internet of Things (IoT) industries in the People's Republic of China. It operates through Cloud-Based Technology and Traditional Information Technology segments. The company offers cloud-based software as a service to automate the interactive workflows between advertising agencies and their customers, including establishing new advertising projects, submitting advertisement proposals, revising and approving advertising proposals, processing payment online, remotely uploading advertisement content, and tracking and analyzing performance data. It also provides project-based technology products and services for the public sector; and software and hardware with integrated solutions, such as information technology infrastructure, internet-enabled display technologies, and IoT platforms to customers in government, education, residential community management, media, transportation, and other private sectors, as well as related maintenance and support services. In addition, the company offers cloud-application-terminal, IoT technology based digital advertising distribution network, and media resource sharing platform in the out-of-home advertising markets. Further, it operates Taoping Net, an advertising-resources trading service platform, which connect screen owners, advertisers, and consumers; and Taoping App that enable customers to distribute and manage ads from mobile terminals. The company was formerly known as China Information Technology, Inc. and changed its name to Taoping Inc. in June 2018. Taoping Inc. was founded in 1993 and is headquartered in Shenzhen, the People's Republic of China.

About Alphabet

Alphabet Inc. offers various products and platforms in the United States, Europe, the Middle East, Africa, the Asia-Pacific, Canada, and Latin America. It operates through Google Services, Google Cloud, and Other Bets segments. The Google Services segment provides products and services, including ads, Android, Chrome, devices, Gmail, Google Drive, Google Maps, Google Photos, Google Play, Search, and YouTube. It is also involved in the sale of apps and in-app purchases and digital content in the Google Play and YouTube; and devices, as well as in the provision of YouTube consumer subscription services. The Google Cloud segment offers infrastructure, cybersecurity, databases, analytics, AI, and other services; Google Workspace that include cloud-based communication and collaboration tools for enterprises, such as Gmail, Docs, Drive, Calendar, and Meet; and other services for enterprise customers. The Other Bets segment sells healthcare-related and internet services. The company was incorporated in 1998 and is headquartered in Mountain View, California.